Parkland Corporation's (TSE:PKI) Intrinsic Value Is Potentially 40% Above Its Share Price
Oct 23
Canadian (TSX) Oil and Gas Industry Analysis
UpdatedOct 30, 2023
DataAggregated Company Financials
Companies205
- 7D-1.6%
- 3M4.2%
- 1Y-2.5%
- YTD7.1%
Over the last 7 days, the Oil and Gas industry has dropped 1.6%, driven by Cenovus Energy declining 4.4%. As for the longer term, the industry's performance has been flat for the past year. Looking forward, earnings are forecast to grow by 10% annually.
Industry Valuation and Performance
Has the Canadian Oil and Gas Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 31 Oct 2023 | CA$618.3b | CA$400.7b | CA$55.0b | 6.4x | 11.2x | 1.5x |
| Thu, 28 Sep 2023 | CA$628.3b | CA$401.2b | CA$55.5b | 6.6x | 11.3x | 1.6x |
| Sat, 26 Aug 2023 | CA$593.6b | CA$401.3b | CA$55.5b | 6.1x | 10.7x | 1.5x |
| Mon, 24 Jul 2023 | CA$573.5b | CA$436.6b | CA$67.4b | 5.3x | 8.5x | 1.3x |
| Wed, 21 Jun 2023 | CA$547.0b | CA$436.7b | CA$67.5b | 4.3x | 8.1x | 1.3x |
| Fri, 19 May 2023 | CA$551.5b | CA$438.2b | CA$67.9b | 4.7x | 8.1x | 1.3x |
| Sun, 16 Apr 2023 | CA$595.3b | CA$449.6b | CA$69.9b | 4.4x | 8.5x | 1.3x |
| Tue, 14 Mar 2023 | CA$568.0b | CA$449.6b | CA$70.3b | 4.2x | 8.1x | 1.3x |
| Thu, 09 Feb 2023 | CA$599.9b | CA$439.5b | CA$75.7b | 5.2x | 7.9x | 1.4x |
| Sat, 07 Jan 2023 | CA$580.1b | CA$437.0b | CA$74.7b | 4.8x | 7.8x | 1.3x |
| Mon, 05 Dec 2022 | CA$625.5b | CA$437.0b | CA$74.7b | 5.3x | 8.4x | 1.4x |
| Wed, 02 Nov 2022 | CA$635.8b | CA$413.2b | CA$65.5b | 6.5x | 9.7x | 1.5x |
| Fri, 30 Sep 2022 | CA$554.0b | CA$406.5b | CA$65.0b | 5.6x | 8.5x | 1.4x |
| Sun, 28 Aug 2022 | CA$625.6b | CA$405.1b | CA$64.7b | 6.4x | 9.7x | 1.5x |
| Tue, 26 Jul 2022 | CA$580.3b | CA$352.7b | CA$52.8b | 7.5x | 11x | 1.6x |
| Thu, 23 Jun 2022 | CA$593.5b | CA$352.8b | CA$52.8b | 8.3x | 11.2x | 1.7x |
| Sat, 21 May 2022 | CA$651.1b | CA$352.3b | CA$52.7b | 8.6x | 12.4x | 1.8x |
| Mon, 18 Apr 2022 | CA$642.8b | CA$311.9b | CA$42.4b | 9.6x | 15.1x | 2.1x |
| Wed, 16 Mar 2022 | CA$575.9b | CA$312.1b | CA$42.4b | 7.3x | 13.6x | 1.8x |
| Fri, 11 Feb 2022 | CA$552.1b | CA$290.7b | CA$32.6b | 8.2x | 16.9x | 1.9x |
| Sun, 09 Jan 2022 | CA$510.3b | CA$269.0b | CA$29.1b | 7.5x | 17.5x | 1.9x |
| Tue, 07 Dec 2021 | CA$471.6b | CA$269.1b | CA$29.1b | 7.3x | 16.2x | 1.8x |
| Thu, 04 Nov 2021 | CA$506.7b | CA$246.1b | CA$22.5b | 11.4x | 22.5x | 2.1x |
| Sat, 02 Oct 2021 | CA$463.8b | CA$236.8b | CA$19.0b | 10.2x | 24.5x | 2x |
| Mon, 30 Aug 2021 | CA$413.5b | CA$233.9b | CA$18.6b | 8.3x | 22.2x | 1.8x |
| Tue, 06 Jul 2021 | CA$442.2b | CA$233.9b | CA$18.6b | 8.2x | 23.8x | 1.9x |
| Fri, 09 Apr 2021 | CA$379.8b | CA$197.3b | CA$2.2b | 8.8x | 175.7x | 1.9x |
| Thu, 31 Dec 2020 | CA$304.4b | CA$185.1b | -CA$24,540,160,782.25 | 10.4x | -12.4x | 1.6x |
Price to Earnings Ratio
-8.7x
Current Industry PE
- Investors are pessimistic on the Canadian Oil and Gas industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 11.2x which is lower than its 3-year average PE of 24.7x.
- The industry is trading close to its 3-year average PS ratio of 1.7x.
Past Earnings Growth
- Total earnings for the Oil and Gas industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 26% per year.
- This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Trends
Which industries have driven the changes within the Canadian Energy industry?
| CA Market | -1.70% | |
| Energy | -1.56% | |
| Oil and Gas | -1.56% | |
| Coal and Fuels | 0.58% | |
| Oil and Gas Storage and Transportation | 0.24% | |
| Oil and Gas Refining and Marketing | -1.40% | |
| Oil and Gas Exploration and Production | -1.72% | |
| Integrated Oil and Gas | -3.76% | |
Industry PE
- Investors are most optimistic about the Oil and Gas Refining and Marketing industry even though it's trading below its 3-year average PE ratio of 46.6x.
- Analysts are expecting annual earnings growth of 25.5%, which is higher than its past year's earnings growth of 22.8% per year.
Forecasted Growth
- Analysts are most optimistic on the Coal and Fuels industry, expecting annual earnings growth of 101% over the next 5 years.
- However this is lower than its past earnings growth rate of 333% per year.
- In contrast, the Integrated Oil and Gas industry is expected to see its earnings growth to stay flat over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| TRP TC Energy | CA$47.34 | 1.6% +CA$778.1m | -20.9% | PE51.3x | |
| PKI Parkland | CA$41.39 | 2.4% +CA$172.5m | 50.3% | PE22.1x | |
| NXE NexGen Energy | CA$7.97 | 3.4% +CA$135.8m | 39.3% | PB9.4x | |
| ENB Enbridge | CA$44.04 | 0.1% +CA$127.5m | -17.0% | PE24.7x | |
| PPL Pembina Pipeline | CA$42.30 | 0.5% +CA$104.4m | -6.0% | PE8.7x |
